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Segment Information | 12 Months Ended
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Dec. 31, 2025
Segment Information |
Segment Information | 15. Segment Information The Company operates under the following three reportable segments: Real Estate, Mortgage, and Marketing Funds. Mortgage does not meet the quantitative significance test; however, management has chosen to report results for the segment as it believes it will be a key driver of the Company’s future success. The Company presents all other business activities and operating segments that do not meet the quantitative significance tests for reportable segments under Other. The Company’s operating segments are assessed by the Company’s Chief Executive Officer, its chief operating decision maker (the “CODM”). The Company’s CODM evaluates operating results of its segments based upon forecast or budget operating results against actual operating results, including revenue, operating expenses and adjusted earnings before interest, the provision for income taxes, depreciation and amortization and other non-cash and non-recurring cash charges or other items (“Adjusted EBITDA”). Adjusted EBITDA is a non-GAAP measure of financial performance that differs from U.S. GAAP and the Company’s presentation and evaluation of Adjusted EBITDA may not be a comparable measure to similar measures used by other companies. The CODM utilizes these key metrics to make economic decisions of the Company, including as a factor in determining capital allocation among the segments. Except for the adjustments identified below in arriving at Adjusted EBITDA, the accounting policies of the reportable segments are the same as those described in Note 2, Summary of Significant Accounting Policies. The following table presents revenue from external customers by segment (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | Year Ended December 31,
​ | ​ | ​ | 2025 | ​ | 2024 | ​ | 2023
Continuing franchise fees | ​ | ​ | $ | 102,866 | ​ | $ | 111,260 | ​ | $ | 116,472
Annual dues | ​ | ​ | ​ | 30,462 | ​ | ​ | 32,188 | ​ | ​ | 33,904
Broker fees | ​ | ​ | ​ | 53,691 | ​ | ​ | 51,816 | ​ | ​ | 51,012
Franchise sales and other revenue | ​ | ​ | ​ | 18,073 | ​ | ​ | 18,829 | ​ | ​ | 25,794
Total Real Estate revenue | ​ | ​ | ​ | 205,092 | ​ | ​ | 214,093 | ​ | ​ | 227,182
Continuing franchise fees | ​ | ​ | ​ | 9,999 | ​ | ​ | 10,751 | ​ | ​ | 10,912
Franchise sales and other revenue | ​ | ​ | ​ | 3,675 | ​ | ​ | 3,858 | ​ | ​ | 3,081
Total Mortgage revenue | ​ | ​ | ​ | 13,674 | ​ | ​ | 14,609 | ​ | ​ | 13,993
Marketing Funds fees | ​ | ​ | ​ | 72,835 | ​ | ​ | 78,983 | ​ | ​ | 83,861
Total reportable segments revenue | ​ | ​ | ​ | 291,601 | ​ | ​ | 307,685 | ​ | ​ | 325,036
Other (a) | ​ | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 635
Total revenue | ​ | ​ | $ | 291,601 | ​ | $ | 307,685 | ​ | $ | 325,671
​
(a) | As of December 31, 2025, Other is not considered a reportable segment. See Note 2, Summary of Significant Accounting Policies, for additional information.
The following table presents Selling, operating and administrative expenses by segment and includes a reconciliation of reportable segment expenses in Adjusted EBITDA (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | Year Ended December 31,
​ | ​ | ​ | 2025 | ​ | 2024 | ​ | 2023
Personnel | ​ | ​ | $ | 73,513 | ​ | $ | 79,919 | ​ | $ | 81,900
Professional fees | ​ | ​ | ​ | 13,445 | ​ | ​ | 10,850 | ​ | ​ | 13,450
Lease costs | ​ | ​ | ​ | 5,807 | ​ | ​ | 6,317 | ​ | ​ | 7,140
Events, travel and related costs | ​ | ​ | ​ | 13,026 | ​ | ​ | 15,307 | ​ | ​ | 19,734
Other segment items (a) | ​ | ​ | ​ | 20,057 | ​ | ​ | 17,649 | ​ | ​ | 25,148
Total Real Estate selling, operating and administrative expenses | ​ | ​ | ​ | 125,848 | ​ | ​ | 130,042 | ​ | ​ | 147,372
Adjustments to arrive at segment expense in Adjusted EBITDA (b) | ​ | ​ | ​ | (19,910) | ​ | ​ | (18,853) | ​ | ​ | (24,495)
Total Real Estate expense in Adjusted EBITDA | ​ | ​ | $ | 105,938 | ​ | $ | 111,189 | ​ | $ | 122,877
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Personnel | ​ | ​ | $ | 13,321 | ​ | $ | 14,240 | ​ | $ | 14,134
Professional fees | ​ | ​ | ​ | 820 | ​ | ​ | 1,394 | ​ | ​ | 1,237
Lease costs | ​ | ​ | ​ | 454 | ​ | ​ | 439 | ​ | ​ | 460
Events, travel and related costs | ​ | ​ | ​ | 2,535 | ​ | ​ | 2,721 | ​ | ​ | 3,118
Other segment items (a) | ​ | ​ | ​ | 3,689 | ​ | ​ | 3,291 | ​ | ​ | 3,495
Total Mortgage selling, operating and administrative expenses | ​ | ​ | ​ | 20,819 | ​ | ​ | 22,085 | ​ | ​ | 22,444
Adjustments to arrive at segment expense in Adjusted EBITDA (b) | ​ | ​ | ​ | (1,747) | ​ | ​ | (2,403) | ​ | ​ | (1,531)
Total Mortgage expense in Adjusted EBITDA | ​ | ​ | $ | 19,072 | ​ | $ | 19,682 | ​ | $ | 20,913
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Marketing Funds fees (c) | ​ | ​ | $ | 72,835 | ​ | $ | 78,983 | ​ | $ | 83,861
Other (d) | ​ | ​ | $ | 35 | ​ | $ | 131 | ​ | $ | 1,732
(a) | Other segment items for each reportable segment include:
Real Estate – other technology expenses, bank fees, corporate administration expenses, commissions, insurance, property and other taxes, bad debt expense, and other miscellaneous expenses. Mortgage – other technology expenses, commissions, bad debt expense, and other miscellaneous expenses.
(b) | This adjustment reconciles segment S elling, operating and administrative expenses to total segment expense included in the measure of segment Adjusted EBITDA. These adjustments contain certain non-cash items and other non-recurring cash charges or other items.
(c) | Marketing Funds fees comprise the Company’s marketing campaigns designed to build and maintain brand awareness and the development and operation of agent marketing technology. The Marketing Funds segment operates at no profit. See Note 2, Summary of Significant Accounting Policies, for additional information.
(d) | As of December 31, 2025, Other is not considered a reportable segment and is included in total S elling, operating and administrative expenses. See Note 2, Summary of Significant Accounting Policies, for additional information.
The following table presents a reconciliation of Adjusted EBITDA by segment to income (loss) before provision for income taxes (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | Year Ended December 31,
​ | ​ | ​ | 2025 | ​ | 2024 | ​ | 2023
Adjusted EBITDA: Real Estate | ​ | ​ | $ | 99,154 | ​ | $ | 102,904 | ​ | $ | 104,305
Adjusted EBITDA: Mortgage | ​ | ​ | ​ | (5,398) | ​ | ​ | (5,073) | ​ | ​ | (6,920)
Adjusted EBITDA: Total reportable segments (a) | ​ | ​ | ​ | 93,756 | ​ | ​ | 97,831 | ​ | ​ | 97,385
Adjusted EBITDA: Other (a) | ​ | ​ | ​ | (35) | ​ | ​ | (131) | ​ | ​ | (1,097)
Settlement and impairment charges (b) | ​ | ​ | ​ | 1,542 | ​ | ​ | (5,483) | ​ | ​ | (73,783)
Equity-based compensation expense | ​ | ​ | ​ | (16,627) | ​ | ​ | (18,855) | ​ | ​ | (19,536)
Fair value adjustments to contingent consideration (c) | ​ | ​ | ​ | 109 | ​ | ​ | 225 | ​ | ​ | 533
Restructuring charges (d) | ​ | ​ | ​ | (2,536) | ​ | ​ | (1,227) | ​ | ​ | (4,210)
Change in estimated tax receivable agreement liability (e) | ​ | ​ | ​ | (715) | ​ | ​ | (1,219) | ​ | ​ | 25,298
Other adjustments (f) | ​ | ​ | ​ | (1,898) | ​ | ​ | (2,860) | ​ | ​ | (2,394)
Interest income | ​ | ​ | ​ | 3,580 | ​ | ​ | 3,738 | ​ | ​ | 4,420
Interest expense | ​ | ​ | ​ | (31,700) | ​ | ​ | (36,258) | ​ | ​ | (35,741)
Depreciation and amortization | ​ | ​ | ​ | (25,848) | ​ | ​ | (29,561) | ​ | ​ | (32,414)
Income (loss) before provision for income taxes | ​ | ​ | $ | 19,628 | ​ | $ | 6,200 | ​ | $ | (41,539)
(a) | The Marketing Funds segment operates at no profit. In addition, as of December 31, 2025, Other is not considered a reportable segment. See Note 2, Summary of Significant Accounting Policies, for additional information.
(b) | During 2025, the Company recorded a cost recovery in connection with a previous settlement, that was received in the fourth quarter of 2025 from an escrow fund from a prior acquisition. This was partially offset by the settlement of an immaterial legal matter and an impairment recognized on an office lease in Canada, see Note 3, Leases, for additional information on our leases. During 2024 and 2023, represents the settlements of certain industry class-action lawsuits and other legal settlements, see Note 13, Commitments and Contingencies, for additional information. During 2023, in connection with the Company’s annual goodwill impairment test, it concluded that the carrying value of the Mortgage reporting unit within the Mortgage segment exceeded its fair value, resulting in an impairment charge to the Mortgage reporting unit goodwill. See Note 7, Intangible Assets and Goodwill, for additional information.
(c) | Fair value adjustments to contingent consideration include amounts recognized for changes in the estimated fair value of the contingent consideration liabilities. See Note 10, Fair Value Measurements, for additional information.
(d) | During 2025 and 2024, the Company restructured its support services to further enhance the overall customer experience. Additionally, during 2023, the Company announced a reduction in force and reorganization intended to streamline the Company’s operations and yield cost savings over the long term. See Note 2, Summary of Significant Accounting Policies, for additional information.
(e) | Change in estimated tax receivable agreement liability is the result of a valuation allowance on deferred tax assets. See Note 4, Non-controlling Interest and Note 11, Income Taxes, for additional information.
(f) | Other adjustments are primarily made up of losses on disposal of assets in 2025 and employee retention related expenses from the Company’s CEO transition in 2024 and 2023.
​ The following table presents total assets of the Company’s segments (in thousands):
​ | ​ | ​ | ​ | ​ | ​
​ | As of December 31,
​ | 2025 | ​ | 2024
Real Estate | $ | 504,451 | ​ | $ | 508,081
Marketing Funds | ​ | 28,192 | ​ | ​ | 29,069
Mortgage | ​ | 49,832 | ​ | ​ | 44,433
Other (a) | ​ | — | ​ | ​ | 11
Total assets | $ | 582,475 | ​ | $ | 581,594
(a) | Other is not considered a reportable segment.
Virtually all long-lived assets are within the United States.

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- Definition The entire disclosure for reporting segments including data and tables. 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